Dollar Bounces Back, Traders Quote New Exchange Rates For Naira
- The dollar recovered after recent depreciation against the naira in the official and unofficial exchange markets
- Traders told Legit.ng that at the black market, the naira's value fell against the United States Dollar
- The latest exchange rate movement is a reversal from the naira performance in the past few days
Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
Bureau de Change operators selling on the street have raised the dollar exchange rate against the naira.
Traders who spoke to Legit.ng gave the new selling exchange rate for a dollar at N1,550.
Source: Getty Images
The selling rate is N20 appreciation for the dollar against the naira when compared to the previous rate of N1,530 just a few days ago.
For online platforms like Chipper Cash a dollar selling rate has increased to N1,732.
A currency trader, Abudulahi, explained to Legit.ng that the dollar's new exchange rate is due to high demand.
He said:
"The market is experiencing increased demand for dollars."
He explained that the bureau’s exchange rates are not fixed but fluctuate daily depending on market dynamics.
“Our rates change based on the prevailing demand and also the size of the transaction. Larger volumes often attract slightly better rates, but that also depends on availability.
"We monitor the situation closely and adjust our rates to remain competitive while ensuring we meet client needs.
"For me, the buying rate for the US dollar is N1,540, while the selling rate is N1,550. The euro is bought at N1,770 and sold at N1,785, while the British pound is bought at N2,080 and sold at N2,100."
Source: Getty Images
Naira to dollar in official market
On Wednesday, July 30, in the Nigerian Foreign Exchange Market (NFEM), the naira depreciated against the United States dollar, closing at N1,534.48 per dollar.
This represents a loss of N1.19 or 0.08% from the previous day’s rate of N1,533.29, according to data from the official foreign exchange segment released by the CBN.
However, the naira appreciated against the Pound Sterling, gaining N2.36 to close at N2,039.23 per pound, compared to N2,041.59 recorded on Tuesday.
The naira also strengthened against the Euro, appreciating by N6.13 to settle at N1,760.71 per euro, up from the previous closing rate of N1,766.84.
CBN's MPC member projects new naira to dollar exchange rate
Earlier, Legit.ng reported that Murtala Sagagi, a member of the Central Bank of Nigeria’s (CBN) Monetary Policy Committee (MPC), has projected that the naira would appreciate to N1,450 per US dollar by the end of 2025.
He stated this in a communique released on the Central Bank of Nigeria’s website.
According to Sagagi, Nigerian currency, the naira, is expected to sustain its positive trajectory through 2025.
He said the positive sentiments are due to efforts from monetary and fiscal authorities to stabilise the currency.
Source: Legit.ng
